Carfax and, Deja vu!

February 28, 2008

Car dealerships have a reputation issue and auto consumers have a trust issue. Not so long ago some car dealers were known to sell lemons: previously damaged vehicles. This destroyed the trust and confidence that auto consumers had in used cars. Therefore, a distrustful relationship was born. Not until a product call Carfax came along did this relationship begin to improve. Carfax allows consumers to check the vehicle history for any mishaps. In the beginning car dealers were reluctant to accept this form of transparency. However, they soon realized it helped establish trust and eliminate objections during the sales process. Now, Carfax is used as a great selling tool and consumers have come to expect it.

They say we can learn from history. If this is true, then what can we learn from Carfax? MyDealerReport is the modern day Carfax. Only this time the product (cars) are not the center of transparency, instead it is the car dealers themselves. This time the acceptance period is much quicker due to the growth of the Internet. So I say to all car dealers, use MyDealerReport as a selling tool by building trust and eliminate objections during the selling process, because your consumers are starting to expected.